SEC Wanted Coinbase to Stop Trading All Crypto Except Bitcoin
Coinbase CEO said that SEC believed that every cryptocurrency apart from Bitcoin qualifies as a ‘security’. It was clear that the federal securities regulator was trying to assert authority over the broader section of the market. advertisement In its lawsuit, the US SEC identified 13 most lightly traded digital assets on Coinbase , as securities. The regulator further asserted that offering them further to customers would put the exchange under the purview of the SEC. Armstrong said: “They came back to us, and they said… we believe every asset other than Bitcoin is a security. And, we said, well how are you coming to the conclusion, because that’s not our interpretation of the law. And they said, we are not going to explain it to you, you need to delist every other asset other than Bitcoin”. Armstrong added that had Coinbase succumbed to the SEC’s demands, it could have set a wrong precedent leaving a large majority of US crypto businesses operating o